AFTER SuperFerry 16, Aboitiz Transport System (ATS) has sold another vessel from its SuperFerry fleet, a move seen to convert the firm into a freight service provider and cut its debt by more than half.

ATS said it sold and delivered SuperFerry 15 to Heung-A Shipping Co., Ltd. for P789 million and will gain approximately P243 million from the sale.

ATS sold two vessels early this year, liquidated P1.7 billion in debt, and reduced interest costs by 59% from last year.

The company has been converting unused passage capacity to roll on-roll off capacity since last year. Three SuperFerries have been converted, generating an additional 192 TEUs to its freight capacity.

ATS also recently partnered with AP Moller Maersk Group to grow its freight business. The joint venture company called MCC Transport Philippines offers regular weekly sailings, servicing the ports of Manila, Cebu and Cagayan de Oro.

In a recent disclosure, ATS reported P366.6 million in net income after tax for the first half of 2007, a 101% increase versus the 2006 figure.

The company is projecting a 7% increase in freight business this year that will be propelled by cargoes coming from the south specifically Dumaguete, Bacolod, Cagayan de Oro, Davao, General Santos and Zamboanga.

You May Also Like

SCMAP to form Mindanao chapter in October

  The Supply Chain Management Association of the Philippines (SCMAP) looks set to finally establish a chapter in Mindanao by October this year in…

PH sees drop in trading across borders indicator in WB doing business report

The Philippines slipped 11 places to 124th out of 190 economies in the latest World Bank (WB) Ease of Doing Business report. Trading across…

Indonesia opens 11 bonded logistics centers to lower transport costs

Indonesian President Joko Widodo inaugurated 11 bonded logistics centers on March 10 as part of Indonesia’s second economic stimulus package that was unveiled on…

Ceva widens cross-border LTL network in Asia

Global freight forwarder Ceva Logistics is widening its less-than-truck-load (LTL) services in Asia-Pacific to bolster its cross-border road freight business in the region. The…